Under Alabama Agency Law (Code of Alabama §34-27-81 et seq.), when must a real estate licensee first disclose their agency status to a prospective buyer or seller?
Correct Answer
D) At the first substantive contact with the prospective client
Alabama Agency Law requires licensees to disclose their agency status at the first substantive contact with a prospective buyer or seller. This early disclosure requirement ensures that consumers understand the nature of the representation before any meaningful discussion of real estate transactions occurs, as mandated by Code of Alabama §34-27-81 et seq.
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Related Topics & Key Terms
Key Terms:
Related Concepts
An agency relationship created when a principal's actions or words lead a third party to reasonably believe that an agent has authority, and the principal fails to correct this belief.
An agency relationship created when a principal approves or accepts an agent's previously unauthorized actions, effectively granting authority after the fact.
The legal requirement for real estate agents to inform all parties about who they represent in a transaction, typically provided at first substantive contact.
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